Net Loss Per Share

6 Months Ended

Jun. 30, 2021

Earnings Per Share [Abstract]

Net Loss Per Share

Net Loss Per Share

Earnings per share is calculated in accordance with ASC Topic 260: Earnings per Share, which specifies the computation, presentation and disclosure requirements for earnings per share (“EPS”). It requires the presentation of basic and diluted EPS. Basic EPS excludes all dilution and is based upon the weighted average number of shares of common stock outstanding during the period. Diluted EPS reflects the potential dilution that would occur if convertible securities or other contracts to issue common stock were exercised. At June 30, 2021, there were 1,403,000 anti-dilutive stock options outstanding compared to 928,000 as of June 30, 2020. At June 30, 2021 there were 457,000 anti-dilutive restricted stock units compared to 427,000 as of June 30, 2020.

The potential effects of 2024 Notes and 2026 Notes conversion features were excluded from the diluted net loss per share as of June 30, 2021 and 2020. Potential shares from 2024 Notes and 2026 Notes conversion features at respective maximum

conversion rates of 46.4037 per share and 30.8356 per share are approximately 638,051 and 3,700,272, respectively. See “Note 7 — Debt” for additional information about the Notes.

As discussed in “Note 3 — Acquisition”, the Company issued to Act III a Warrant to purchase 500,000 shares of common stock with an exercise price of $76.50 per share and were excluded from the diluted net loss per share as of June 30, 2021 due to their anti-dilutive impact.